My mom isn’t able to claim Real Estate tax benefits?

[Greyden Piechnick]

Hello!
My mom owns 5 rental properties. She is telling, me since her and my stepdad make over $150,000, she cannot utilize tax write offs until they sell the property. She is claiming that the write offs will be used to offset the capitol gains tax when they sell.
Is there a way for her to utilize the tax advantages of real-estate through the 30 year ownership?
What happens if she never wants to sell and pass it down to kids?

How can the tax advantages still be used?

Surely there has to be a way, as Brandon and David use the advantages and they make way more money!
pls help. Thank you!

[Basit Siddiqi]

@Greyden Piechnick

Your mom's CPA/accountant is not explaining it correctly or not doing her return correctly.

She is  eligible to write off real estate related expenses on her return regardless of her(including stepdad's) income including depreciation.

There are some limitations when the income level is above $100,000 / $150,000. At this point you can't offset passive real estate losses with other types of income(ordinary / portfolio).

However, she likely is not paying tax on her real estate cash-flow which makes real estate a better alternative to stocks / bonds from an after-tax perspective.